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Integrated Sustainable Urban Development
Integrated Sustainable Urban Development
This factsheet is one in a series highlighting key elements of the future approach
The various dimensions of urban life – environmental, economic, social and cultural – are interwoven and success
in urban development can only be achieved through an integrated approach. Measures concerning physical urban
renewal must be combined with measures promoting education, economic development, social inclusion and
environmental protection. In addition, the development of strong partnerships between local citizens, civil society,
the local economy and the various levels of government is a pre-requisite.
Such an approach is especially important at this time, given the seriousness of the challenges European cities
currently face. These challenges range from specific demographic changes to the consequences of economic
stagnation in terms of job creation and social progress, and to the impact of climate change. The response
to these challenges will be critical for achieving the smart, sustainable, inclusive society envisaged in the Europe
2020 Strategy.
Cohesion
Policy
What is proposed?
» Integrated investment strategies, with a more strategic and holistic approach:
As a basic principle, the European Regional Development Fund (ERDF) should support sustainable urban devel-
opment through integrated strategies that tackle the economic, environmental, climate and social challenges
of the urban areas (Article 7, paragraph 1 of the proposed ERDF regulation). The meaning of this principle is
twofold: it signifies that resources should be concentrated in an integrated manner to target areas with spe-
cific urban challenges; and at the same time, that ERDF-funded projects in urban areas should be integrated
into the wider objectives of the programmes. EU Member States should seek to use the European Social Fund
(ESF), in synergy with the ERDF, to support measures related to employment, education, social inclusion and
institutional capacity, designed and implemented under the integrated strategies.
» Urban Development Platform: Based on a list of cities prepared by Member States in their Partnership
Contract, the Commission will establish an Urban Development Platform comprising 300 cities throughout
Europe, which will stimulate a more policy-oriented dialogue on urban development between the cities at
European level and the Commission. It is not a funding instrument, but rather a mechanism for making the con-
tribution of cities under cohesion policy to the Europe 2020 Strategy more visible, facilitating integrated and
innovative actions for sustainable urban development and capitalising on the results (Article 8 of the proposed
ERDF regulation).
» Innovative urban actions: In order to foster new and innovative solutions in sustainable urban devel-
opment, at the initiative of the Commission, the ERDF may support innovative actions subject to a ceiling of
0.2 % of the total ERDF allocation. The innovative urban actions shall be urban pilot projects, demonstration
projects and related studies of European interest. Their scope may cover all thematic objectives and investment
priorities (Article 9 of the proposed ERDF regulation).
» Financial instruments: Member States are encouraged to make extensive use of financial instruments
in supporting sustainable urban development. The scope of financial instruments is extended and covers all
thematic objectives and investment priorities and all kinds of beneficiaries, projects and activities (Articles
32-40 of the proposed Common Provisions for CSF Funds 2014-2020).
» Networking: Under the European Territorial Cooperation (ETC) objective, the exchange and learning pro-
gramme for cities will continue to provide them with networking opportunities in order to share and develop good
practices in urban development (Article 2 of the proposed ETC regulation).
» More responsibilities and opportunities for cities: Member States will be able to give cities
the opportunity to design and implement fully integrated strategies, which combine the resources of different
priority axes and operational programmes.
KN-30-12-445-EN-C
» Operations supported by several funds, multi-fund Operational Programmes and
cross-financing: The implementation of integrated urban development strategies will be enhanced by
the possibility to combine actions financed by ERDF, ESF and CF either at programme or operation level. Cross-
financing between ERDF and ESF of a part of an operation (up to 5 % of each priority axis of an Operational
Programme) will remain to complement the multi-fund approach (Article 55, paragraph 8 and 88 of the
proposed Common Provisions for CSF Funds 2014-2020).
» More functional approach allowing for interventions at the right scale: As an ITI can
cover different types of cities and urban areas, as defined by Member States, it allows for the financing of
integrated actions ranging from neighbourhood or district level to functional areas such as city-regions or
metropolitan areas – including neighbouring rural areas.
» Member States should identify the cities where integrated sustainable urban development will
receive cohesion policy support in order to strengthen the role of cities in the programmes, and to ensure that
a minimum of 5 % of the ERDF resources allocated is invested in integrated actions for sustainable urban
development.
» In both the Partnership Contract and the Operational Programmes, Member States should indicate: the
cities implementing integrated actions for sustainable urban development with delegated management and which
cities they wish to be considered for participation in the Urban Development Platform. The Operational
Programme will also set out the indicative financial allocation from each priority axis to the integrated actions.
doi: 10.2776/55712